Introduction
Meesho products are known for their minimum prices. The low price of the products aid in increasing the popularity of Meesho. You must be wondering why Meesho products are so cheap. That’s why we are here with a quick explainer for you.
Reasons
There are 3 main reasons why Meesho products are so cheap in terms of price:
1: Business Model
The primary reason for cheap products in Meesho is their effective business model. Their business strategy is based on the B2B model. It refers to “Business to Business.” Here, the manufacturers (sellers) place their products on the Meesho app and the resellers (ordinary individuals) select them and sell them to the customers through social networking sites by fixing a specific margin. The reselling mode of business is effective only when the original prices of the products are fairly cheap and of good quality. This makes local businesses prosper and the customers also get the products at lower rates.
2: Easy Registration Process & High Competition
As you know, the main objective of Meesho is to encourage ordinary people to become entrepreneurs with zero investment; therefore, the process of registering in Meesho is quite simple. Anybody can register on Meesho to sell and resell the products due to which there is not much fluctuation in the manufacturing prices and selling prices.
The degree of competition greatly impacts the price of the products. As discussed above, the registration process is easy resulting in a large number of resellers and suppliers. This leads to heavy competition on the platform Meesho. Due to the presence of cutthroat competition between various sellers, resellers, and manufacturers, the products are very cheap in Meesho.
3: Product Quality
According to various customers, Meesho does not prioritize quality over the price of the products. Such products are useful for those who prefer products of low price by compromising quality.
Note: Do you know what is the final result of offering cheap products? Expansion of customer base! When you offer cheaper and good quality products as compared to your contemporaries, you get the benefit of “word of mouth” marketing. Ands that’s what helped Meesho to grab a large user base of around 120 million in CY22.
Final Words
Meesho is one of the most successful platforms providing products at pocket-friendly prices. It has a set target audience who demand affordable and pocket-friendly products without focusing too much on quality. Meesho successfully satisfies the demands of its audience by providing budget-friendly and cheap products.
